Paterno ****ed up.
He reported it to his coworker. His responsibility was to call the police. He's complicit in raping kids now, there's no way around that.
There's no chain of command for reporting felonies. If you're aware that a kid has been raped, you go to the law, not your boss. If you don't, guess what? You're an accessory now. That's how it works.
And this was going on for a long time. Apparently, Sandusky started a charity for young boys and would use it to get them alone.